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From: as on 23 May 2010 12:54
Broke GMB can�t pay farmers

http://www.thestandard.co.zw/

Saturday, 22 May 2010 19:33

THE loss-making Grain Marketing Board (GMB) has no money to pay
farmers who delivered their produce during the just-ended season
further dampening hopes for a good winter cropping season, a senior
official said last week. The parastatal is also working on modalities
to cut down its workforce in a desperate bid to stay afloat.
Appearing before the Parliamentary Portfolio Committee on
Agriculture, Water, Lands and Resettlement on Tuesday GMB acting
general manager Zvidzai Makwenda said the parastatal was waiting for
money from Treasury to enable it to pay the farmers.

Makwenda also admitted that seed and fertiliser stocks at GMB depots
countrywide were not enough for the crucial winter cropping season.

�We are still waiting for money from the Ministry of Finance,� said
Makwenda. �At the moment, we do not have the money to pay farmers.�

He told the committee that the parastatal was experiencing serious
financial problems and plans were afoot to retrench over half of its
workforce.

�We are having serious financial problems and we are planning to cut
our staff by about 50%,� he said. Committee chairperson and MP for
Chikomba Central Moses Jiri said they would recommend to the Ministry
of Finance that money to pay farmers is released immediately.

�As a committee, we will just recommend to the Ministry of Finance to
ensure that this problem is sorted out,� said Jiri. �Otherwise we
will have a disastrous winter season because of poor planning.�
Muzarabani South MP Edward Raradza (Zanu PF) castigated the GMB for
allowing government officials to mislead the public into believing
that the parastatal had inputs when its depots were empty.

�You should come out clearly that you don�t have money. We heard on
radio and read in newspapers that farmers can now get their money
from GMB but you don�t have the money,� said Raradza. The shortage of
seed and fertiliser will have serious implications on the winter
wheat cropping season said Raradza.

The committee had summoned the GMB officials to give evidence
regarding the US$2,7 million owed to the parastatal by the Food
Reserve Agency of Zambia for maize exported to that country in 1998.
�The US$2,7 million that is outstanding is very important for the
organisation in terms of funding for our activities,� said Makwenda.

The debt has also sucked in Attorney General Johannes Tomana who was
supposed to give evidence to the Committee but failed to turn up for
the third time round.

The debt was referred to the two countries� attorney generals because
the GMB was facing problems recovering the money.

The committee threatened to take stern action against Tomana for
failing to appear before it. But on Friday Jiri said they had
summoned the AG for the fourth time and he was expected to appear
before the MPs at the beginning of next month.

The Zambians are insisting they paid for the maize in full.

BY CAIPHAS CHIMHETE

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